GRID INNOVATION CAUCUS CO-CHAIRS

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1 February 16, 2017

2 GRID INNOVATION CAUCUS CO-CHAIRS REP. JERRY NCNERNEY (D-CA) REP. BOB LATTA (R-OH) 2

3 WIRES UNIVERSITY Transmission 101: The Fundamentals Of High Voltage Transmission February 16, 2017 Adriann (Andee) McCoy, Vice President, Western Region, Smart Wires Presented by WIRES - a national coalition of entities dedicated to investment in a strong, well-planned and environmentally beneficial electricity high voltage transmission system in the US.

4 4 Agenda Basic Definitions & Components of the Grid Grid Operations Grid Planning & Development Emerging Technologies Summary Q&A

5 5 Objectives Understand the Power System in 60 minutes or less Understand elements of the Power System Understand its basic physics Understand how the Power System is controlled Understand some of the challenges in planning the Power System

6 6 Basic Definitions & Components of the Grid

7 7 Industry Overview Basic Definitions The networks that carry electricity from the plants where it is generated to consumers. This includes wires, substations, transformers, switches and more.

8 8 Industry Overview Basic Definitions Voltage electrical pressure measured in volts. For power systems we typically measure in 1000 s of volts or kilovolts (kv) Current the movement of charge (electrons) through a conductor. Measured in Amperes (A) Power Rate at which electricity is transferred. Measured in Watts or more typically kilowatts (kw) or megawatts (MW) Energy The amount of work that can be done by electricity. Measured in Watt-hours or more typically kilowatt-hours (kwh) or megawatt-hours (MWh).

9 9 Industry Overview Basic Definitions Source:

10 10

11 11 Components of the Grid Generation Transmission Distribution Load (Delivery) Fuel Source Energy Conversion Non-regulated/ Competitive in most of the country Power Transformation (Step Up) Demand/ Supply 115 kv 765 kv Power Transformation (Step Down) 4 kv 34.5 kv Metering Billing 120 V 240 V

12 12 Components of the Grid Generation Creates electric energy using a variety of fuel sources including coal, nuclear, wind, gas, biomass, solar, and hydro

13 13 Components of the Grid Load Consumer of electric energy Loads can be smaller than your cell phone hooked to its wall charger (say 1 watt) or as large as an industrial facility (in the 10 s of millions of watts)

14 14 Components of the Grid Distribution Primary purpose is to serve loads (your house is connected to a distribution system) Generally radial (nonnetworked) in nature Not used for interstate commerce

15 15 Components of the Grid Transmission Used to move power relatively long distances from generators to load with lower losses Highly interconnected for enhanced reliability The interstate system for electricity

16 16 Components of the Grid Transmission Enables Us To build generation in areas removed from the loads More desirable environmental and fuel factors build larger, more efficient generators Economies of scale get power to remote areas with lower losses Rural electrification create robust interconnected networks Increased reliability Decreased costs Makes possible power pools, markets, bulk power transactions

17 Grid Operations 17

18 18 Grid Operation Unlike highways, pipelines, and telecom, the flow of electricity on the AC grid can not traditionally be easily routed or controlled. Power flows via the path of least resistance. This is a critical difference in how the grid differs from other transportation mechanisms.

19 Reliability Under Changing System Needs Sli de 19

20 Reliability Under Changing System Needs Sli de 20

21 Reliability Under Changing System Needs Sli de 21

22 22 Grid Operation Control centers are staffed 24 hours a day, 365 days a year to ensure the safety, reliability and availability of the system for electric customers The primary task of a Grid Operator is to make sure that as much power is being generated as is being used if not, the grid s voltage could drop, causing the grid to become unstable

23 23 Grid Operation Smart Grid Operators take immediate actions to isolate and mitigate issues that arise on to minimize any interruption of power Smart Grid refers to an upgraded system which would offer Grid Operators more visibility and control over the system.

24 24 Grid Operation Smart Grid Computer Control Two-way digital communication between the device in the field and the utility s network operations center Automated technology to allow remote control of devices from a central location Current Smart Grid Enhancements Enhanced measurement devices and sensors to collect data Improved interfaces to improve Situational Awareness

25 25 Grid Operation Emerging Smart Grid Developments 1. Distributed Generation Can sell energy surplus back to the utility and get paid as microgenerators 2. Smart Appliances Can monitor cost of electricity and shut down when power is too expensive 3. Remote Control Applications Utilities can control consumers non-essential appliances remotely 4. Plug-in Hybrid Cars Can refuel using clean electricity generated locally 5. Locally Generated Power Avoids the long-distance power losses 6. Wireless Chips Communication between houses and utilities to swap price and usage information 7. Web and Mobile Phone Interfaces Allow consumers to monitor and control appliances when away from home 8. Energy Storage Can store clean solar energy for use at night when the sun isn t shining 9. Power Flow Controllers Allows operators to control flow of power, making better use of existing assets Source: The New York Times

26 Grid Planning and Development 26

27 27 Primary Purpose of Transmission Planning To determine the transmission and substation additions which render the transmission network to be able to supply the loads and facilitate wholesale power marketing with a given criteria at the lowest possible cost and risk to the system

28 28 Issues & Factors in a Transmission Planning Study Planning Period Load Forecast and transmission usage projection Generation Resources (Location, Type, etc.) Discrete Transmission Capacities Alternative Solutions Economy of Scale Economic and Financial Constraints R-O-W Limitations New and Emerging Technology Various Uncertainties and Risks Service Reliability and Cost Considerations Institutional & Government Regulations

29 29 Regional Planning Per FERC O (in conjunction with O. 890), all public utility transmission providers must participate in a regional transmission planning process Public utility transmission providers in neighboring transmission planning regions must coordinate to determine if there are more efficient or cost-effective solutions to their mutual transmission needs Stakeholders can provide input and advocate positions throughout the process Processes vary by region as dictated by individual transmission planning tariffs

30 Regional Planning - FERC Order

31 Emerging Grid Technologies 31

32 32 Storage 5 MW Energy Storage System at the Salem Smart Power Center in Salem, OR Source:

33 33 Synchrophasors/ Phasor Measurement Units (PMUs) A synchrophasor is a sophisticated monitoring device that can measure the instantaneous voltage, current and frequency at specific locations on the grid. They give operators a near-real-time picture of what is happening on the system, and allows them to make decisions to prevent power outages. Synchrophasors are measured by high-speed monitors called PMUs that are 100 times faster than existing SCADA technology Overall = Improved grid reliability, efficiency and lower operating costs

34 34 Superconductors and Low Sag, High Capacity Conductors Superconductors are made of alloys or compounds that will conduct electricity without resistance below a certain temperature, thus eliminating inefficiencies Could enable the transfer of power over long distances at residential voltages New conductor technologies such as ACCC conductor offer increased capacity compared to traditional conductors, with reduced thermal sag

35 35 Smart Wires Technology Power flow control solutions have ability to transform the way power systems are planned and operated. These solutions push or pull power away from overloaded lines and onto underutilized corridors on the transmission grid by changing the reactance of the lines on which they are installed. System operators can dynamically control each line, based on the real-time needs of the grid. These solutions are quickly deployable, scalable and reusable, giving customers the opportunity to redeploy the technology as their needs change.

36 36 Summary The power system is: An integral component of the economy Composed of generation, distribution and transmission Relies on transmission to deliver cost effective generation to load centers Uses the transmission backbone to enable energy markets Is complicated to operate and requires constant monitoring and control Today s challenges to investment: Planning to meet stakeholder needs Integration of competitive transmission development Getting agreement on cost allocation Emerging technologies

37 37 Questions? Adriann (Andee) McCoy

38 38 Sources:

GRID INNOVATION CAUCUS CO-CHAIRS

GRID INNOVATION CAUCUS CO-CHAIRS February 16, 2017 GRID INNOVATION CAUCUS CO-CHAIRS REP. JERRY NCNERNEY (D-CA) REP. BOB LATTA (R-OH) 2 WIRES UNIVERSITY Transmission 101: The Fundamentals Of High Voltage Transmission February 16, 2017

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